Savings
2024-05-14 5 Min read
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As a salaried or self-employed individual, your income plays a key role in your financial portfolio. However, like most people with a fixed income, you may often face two major challenges. The first one is generating an income that is enough, and the second is combating the gradual erosion of your purchasing power. It is only with a diversified income portfolio that you can generate wealth and reduce your portfolio’s volatility.
Adding extended alternatives to your portfolio is crucial, and one of the main aspects is to have an income alternative. If you are looking for a means to diversify your portfolio, ensure stability with assured returns, supplement your income, and get life coverage, we have just what you are looking for. POS-SUD Life Sanchay is an endowment plan that comes with multi-faceted benefits.
Endowment plans as catalysts for a diversified income portfolio
Your personal finances may include various elements. You may have invested in multi-bagger stocks or other financial products that can help you get market-linked returns. However, an important aspect that cannot be overlooked here is risk management. Therefore, you need to have some debt exposure in your portfolio. This is where an endowment plan is a crucial part of your asset allocations jigsaw puzzle. It acts as the debt part of your portfolio and helps you prepare for the worst-case scenario.
A unique endowment plan like POS-SUD Life Sanchay allows you to generate income from your portfolio. Let us see how it acts as a catalyst for a diversified income portfolio:
1. Brings diversity to your financial portfolio
Diversifying a financial portfolio by investing in a life insurance plan can be a great decision. By investing in POS-SUD Life Sanchay, you will have extra income for a better tomorrow. Today, you can utilise the benefit of tax deductions for the premium paid towards POS-SUD Life Sanchay.
2. Allows careful asset allocation
An endowment plan like POS-SUD Life Sanchay that is not affected by market performance gives you much-needed financial stability. On the other hand, it becomes easier for you, as an investor, to carefully allocate other assets in your financial portfolio that can come with higher market risks.
3. Acts like an efficient tax benefit tool
Life insurance plans like POS-SUD Life Sanchay are not just a financial security promise for tomorrow but also offer benefits today. Along with planning for future finances, you can manage your expenses today by availing tax deductions.
You can avail tax deductions up to ₹1.5 lakhs u/s 80C of the Income Tax Act of 1961. The death benefit is tax-free u/s 10(10D) of the Income Tax Act of 1961.
4. Covers other financial assets
An endowment plan like POS-SUD Life Sanchay not only offers guaranteed benefits but also mitigates the risks of various other financial assets that you may have, like bonds, stocks, or real estate investments. A risk in market-dependent investment can be covered by POS-SUD Life Sanchay since it guarantees future returns. Even in the absence of the life assured, the family can utilise the benefits to sustain the financial stress of any lost asset.
5. Unaffected by market fluctuations
POS-SUD Life Sanchay is an endowment plan that is not affected by market fluctuations and, thus, remains unchanged throughout the tenure. This is why it also adds to the financial stability of your future financial plans. Unlike many other market-dependent investments that can suffer turbulence due to market downturns, POS-SUD Life Sanchay remains unaffected by market volatility.
6. Adds stability to your portfolio
Predictability of the future returns in an endowment plan like POS-SUD Life Sanchay is possible. You are guaranteed annual regular installments equal to 160% of Annualized Premium from the 11th year till the 20th year. Hence, it becomes easier for you to plan your future finances accordingly with much more stability.
A unique endowment plan like POS-SUD Life Sanchay allows you to generate income from your portfolio. Let us see how it acts as a catalyst for a diversified income portfolio:
1. Brings diversity to your financial portfolio
Diversifying a financial portfolio by investing in a life insurance plan can be a great decision. By investing in POS-SUD Life Sanchay, you will have extra income for a better tomorrow. Today, you can utilise the benefit of tax deductions for the premium paid towards POS-SUD Life Sanchay.
2. Allows careful asset allocation
An endowment plan like POS-SUD Life Sanchay that is not affected by market performance gives you much-needed financial stability. On the other hand, it becomes easier for you, as an investor, to carefully allocate other assets in your financial portfolio that can come with higher market risks.
3. Acts like an efficient tax benefit tool
Life insurance plans like POS-SUD Life Sanchay are not just a financial security promise for tomorrow but also offer benefits today. Along with planning for future finances, you can manage your expenses today by availing tax deductions.
You can avail tax deductions up to ₹1.5 lakhs u/s 80C of the Income Tax Act of 1961. The death benefit is tax-free u/s 10(10D) of the Income Tax Act of 1961.
4. Covers other financial assets
An endowment plan like POS-SUD Life Sanchay not only offers guaranteed benefits but also mitigates the risks of various other financial assets that you may have, like bonds, stocks, or real estate investments. A risk in market-dependent investment can be covered by POS-SUD Life Sanchay since it guarantees future returns. Even in the absence of the life assured, the family can utilise the benefits to sustain the financial stress of any lost asset.
5. Unaffected by market fluctuations
POS-SUD Life Sanchay is an endowment plan that is not affected by market fluctuations and, thus, remains unchanged throughout the tenure. This is why it also adds to the financial stability of your future financial plans. Unlike many other market-dependent investments that can suffer turbulence due to market downturns, POS-SUD Life Sanchay remains unaffected by market volatility.
6. Adds stability to your portfolio
Predictability of the future returns in an endowment plan like POS-SUD Life Sanchay is possible. You are guaranteed annual regular installments equal to 160% of Annualized Premium from the 11th year till the 20th year. Hence, it becomes easier for you to plan your future finances accordingly with much more stability.
Why POS-SUD Life Sanchay?
Endowment plans serve a dual purpose: They offer financial protection and also act as a solid avenue for saving. While the reasons for investing in life insurance may be different for different individuals, the primary goal is financial stability.
1. It is a safety net for your family
The primary objective of a life insurance plan is to safeguard the future of your loved ones, especially if they are dependent on you financially. With POS-SUD Life Sanchay, you can be prepared for the unpredictable twists and turns of life.
2. It helps you achieve long-term goals
Working towards a long-term financial goal becomes easier when you have a systematic plan in place. Regularly paying your premium helps inculcate disciplined saving habits, which go a long way toward building wealth.
3. It supplements your primary income
The POS-SUD Life Sanchay policy makes it easier to create a regular source of income to meet your family’s growing expenses. By paying a premium for ten years, you can get an assured second income.
4. Buying at the right time makes life insurance cheaper
Buying life insurance is a good idea, no matter what age group you fall into. However, when you subscribe to life insurance at an early age, you get the advantage of more affordable premiums.
1. It is a safety net for your family
The primary objective of a life insurance plan is to safeguard the future of your loved ones, especially if they are dependent on you financially. With POS-SUD Life Sanchay, you can be prepared for the unpredictable twists and turns of life.
2. It helps you achieve long-term goals
Working towards a long-term financial goal becomes easier when you have a systematic plan in place. Regularly paying your premium helps inculcate disciplined saving habits, which go a long way toward building wealth.
3. It supplements your primary income
The POS-SUD Life Sanchay policy makes it easier to create a regular source of income to meet your family’s growing expenses. By paying a premium for ten years, you can get an assured second income.
4. Buying at the right time makes life insurance cheaper
Buying life insurance is a good idea, no matter what age group you fall into. However, when you subscribe to life insurance at an early age, you get the advantage of more affordable premiums.
Conclusion
When it comes to investing your income, diversification is crucial as it can reduce the overall risk. If you are looking to earn an extra income, preserve your money, and protect the future of your loved ones, then POS-SUD Life Sanchay can be the one-stop solution for all your needs. It also allows you to have a diversified income portfolio. This endowment policy works as a reliable tool for creating an additional and consistent income stream.
Reviewing your financial situation, objectives, and risk appetite is a constant process. You need to monitor all your financial products to achieve optimal asset allocation in your income portfolio. Consult a financial advisor to create a customised financial plan tailored to your specific needs.
Reviewing your financial situation, objectives, and risk appetite is a constant process. You need to monitor all your financial products to achieve optimal asset allocation in your income portfolio. Consult a financial advisor to create a customised financial plan tailored to your specific needs.
Reference
1. https://www.outlookmoney.com/magazine/story/what-is-the-role-of-insurance-and-why-it-should-be-a-separate-need-1435
2. https://www.financestrategists.com/wealth-management/investment-management/diversified-income-portfolios/
Reference: POS Sanchay: UIN: 142N058V01
2. https://www.financestrategists.com/wealth-management/investment-management/diversified-income-portfolios/
Reference: POS Sanchay: UIN: 142N058V01
Disclaimer
POS – SUD Life Sanchay | UIN: 142N058V04 | Individual Non-Linked Non-Participating Savings Life Insurance Plan
Star Union Dai-ichi Life Insurance Company Limited | IRDAI Regn. No: 142 | CIN: U66010MH2007PLC174472
Registered Office: 11th Floor, Vishwaroop I.T. Park, Plot No. 34, 35 & 38, Sector 30A of IIP, Vashi, Navi Mumbai – 400 703 | Contact No: +91 22 7196 6200 | 1800 266 8833 (Toll Free) | Timing: 9:00 am – 7:00 pm (Mon – Sat)| Email ID: customercare@sudlife.in | Visit: www.sudlife.in | For more details on risk factors, terms and conditions, please refer to the sales brochure carefully, before concluding the sale. |Trade-logo displayed belongs to M/s Bank of India, M/s Union Bank of India and M/s Dai-ichi Life International Holdings LLC and are being used by Star Union Dai-ichi Life Insurance Co. Ltd. under license.
Star Union Dai-ichi Life Insurance Company Limited | IRDAI Regn. No: 142 | CIN: U66010MH2007PLC174472
Registered Office: 11th Floor, Vishwaroop I.T. Park, Plot No. 34, 35 & 38, Sector 30A of IIP, Vashi, Navi Mumbai – 400 703 | Contact No: +91 22 7196 6200 | 1800 266 8833 (Toll Free) | Timing: 9:00 am – 7:00 pm (Mon – Sat)| Email ID: customercare@sudlife.in | Visit: www.sudlife.in | For more details on risk factors, terms and conditions, please refer to the sales brochure carefully, before concluding the sale. |Trade-logo displayed belongs to M/s Bank of India, M/s Union Bank of India and M/s Dai-ichi Life International Holdings LLC and are being used by Star Union Dai-ichi Life Insurance Co. Ltd. under license.
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